Dangote Cement Plc has announced the commencement of the construction of new cement plants in two communities in the state.
The new plants are expected to add nine million metric tonnes per annum to the company's current local cement output from 29.25 million metric tonnes per annum Hot Naija News
(mmtpa) to 38.25 mmtpa
Devakumar said the move by the firm was to help enlarge the spread of its manufacturing outfits, thereby cutting down the transportation cost component of operations.
He added the new investments will further lower cost of production; to generate employment opportunities as well as bring about future reductuon of the purchase price of cement.
Also speaking latest breaking news in Naija
the function, the Group Managing Director, Cement, Dangote Industries Limited, Onne Vander Weijde said the demand for cement was still high considering the level of population growth in Nigeria, saying that Nigeria's per capita consumption of the building material that will be just above 100 kilogram per capita is comparatively low, signaling an enormous increase potential.
The company said that the communities in which it is setting up the brand new plants are Okpella in the northern area of Edo State, using another six million in Itori per annum capacity plants, in Ogun State and a three million per annum plant.
The Group Managing Director and Chief Executive Officer (CEO), Dangote Cement Plc, Devakumar Edwin, who made the statement in Lagos, clarified that the Okpella plant will soon be made Naijahotnews
up of one line and certainly will produce a total of three million metric tonnes per annum, and the Itori plant which will deliver around six million tonnes per annum from two production lines. Both plants are anticipated to come within the following three years.
"There has always been a surplus in demand because cement had not been easily obtainable, but ours is available as well as the costs are affordable. Consumer prices have dropped by 35 per cent in naira terms, but if you take it in dollar terms and relate it with Nigerian Newspapers Today's Headlines
parallel market rates, you may realise the cost Naija news of today
the product has gone down in Nigeria, and in some instances below the prevailing typical international cost.
"This itself is a huge driver for raising the per capita consumption," he said.
He said with the capacity of the plants in Nigeria, the business can furnish the complete western and central Africa region, maintaining that currently, Dangote cement is exporting cement to Niger, Ghana, Togo with strategies to move up to the Ivory Coast.
"Nigeria had always been an import-dependent state with regards to cement before and if we do not add up capacities, we will not manage to match up the consumption rate in the country.